Can Barrick Gold Stock Rise 50%?

Core Viewpoint - Barrick Mining Corp's stock could potentially double in value if gold prices experience a significant surge, particularly if they exceed $4,000 per ounce [1][5]. Group 1: Stock Performance - Barrick's stock has increased by over 30% year-to-date, significantly outperforming the S&P 500 index, which has grown by 7% [2]. - The rise in Barrick's stock is largely attributed to a 28% increase in gold prices, which currently exceed $3,350 per ounce [2]. Group 2: Financial Projections - At the current gold price of $3,350 per ounce, Barrick's estimated revenues for 2025 are around $15.24 billion, reflecting a price-to-sales (P/S) ratio of 2.5x [3]. - If gold prices rise to $4,000 per ounce, revenues could exceed $18 billion, potentially leading to a share price of around $26 at the same P/S ratio [3]. - Should the P/S ratio increase to 3.2x, as seen in 2020, the share price could rise to $33, representing a 55% increase from current levels [3]. Group 3: Market Dynamics - A significant increase in gold prices could be driven by factors such as a global recession, inflation, geopolitical tensions, or central banks stockpiling gold [4]. - Higher gold prices would enhance Barrick's profits without the need for additional mining, as many costs are fixed [4]. - The market may reassess Barrick's valuation, viewing it as a reliable cash-generating entity rather than just a gold investment [4].